{"id":585259,"date":"2026-08-06T19:38:08","date_gmt":"2026-08-06T19:38:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/585259\/"},"modified":"2026-08-06T19:38:08","modified_gmt":"2026-08-06T19:38:08","slug":"multinationals-paid-additional-e1bn-in-july-as-new-15-tax-rate-kicks-in-the-irish-times","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/585259\/","title":{"rendered":"Multinationals paid additional \u20ac1bn in July as new 15% tax rate kicks in \u2013 The Irish Times"},"content":{"rendered":"

Multinationals paid an additional \u20ac1 billion in corporation tax<\/a> in July following the introduction of a new minimum 15 per cent rate for large firms.<\/p>\n

Without these receipts, corporate tax would have fallen dramatically during the month, impacting on the public finances in the run up to the budget<\/a>. <\/p>\n

The latest monthly exchequer returns, published by the Department of Finance<\/a>, show the business tax generated \u20ac1.3 billion last month, up marginally on the same month last year.<\/p>\n

The department noted that approximately \u20ac1 billion represented the first wave of \u201ctop-up\u201d payments arising from the new global minimum rate of 15 per cent, agreed as part of an Organisation for Economic Co-operation and Development<\/a> agreement on international tax in 2021.<\/p>\n

Estimates suggest this higher rate could yield an additional \u20ac5 billion in receipts for the exchequer.<\/p>\n

Cumulatively, corporation tax amounted to \u20ac15 billion for the seven months to the end of July, up \u20ac678 million (4.7 per cent) on the same period last year.<\/p>\n

Despite repeated warnings about the potential volatility of multinational profits, corporation tax, which is heavily concentrated around several firms in the tech sector here, has continued to grow.<\/p>\n

The latest exchequer data shows the Government collected a total of \u20ac59.6 billion across all tax heads in the seven months to July, up \u20ac1.6 billion or 2.8 per cent on the same period last year. <\/p>\n

However, when once-off receipts connected to the Apple tax case<\/a>, which boosted last year\u2019s total, are excluded, total tax receipts this year were up by \u20ac3.4 billion or 6 per cent.<\/p>\n

Tax coffers were also boosted by income tax, which generated \u20ac3.3 billion in July and \u20ac21.9 billion over seven months, up \u20ac1.5 billion (7.5 per cent) on the same period in 2025.<\/p>\n

Strong income tax receipts come on the back of a sustained period of jobs growth in the Irish economy. Separate figures released from the Central Statistics Office<\/a> show unemployment remains anchored near a historic low of 5 per cent. <\/p>\n

\u201cToday\u2019s figures are further evidence of the resilience of our economy,\u201d Minister for Finance Simon Harris<\/a> said.<\/p>\n

\u201cIn a deeply uncertain world, it is more important than ever that we maintain a sensible and sustainable approach to fiscal policy,\u201d he said.<\/p>\n

Harris said the upcoming budget would seek \u201cto strike a careful balance\u201d.<\/p>\n

\u201cWe will deliver a package that will help workers keep more of their earnings, while continuing to invest in our public services and critical infrastructure,\u201d he said. <\/p>\n

The budget will contain a \u20ac1.5 billion tax-reducing package to protect workers from inflation and increase take-home pay.<\/p>\n

VAT<\/a> receipts, which reflect consumer spending, were also up, rising by 17.5 per cent to \u20ac3.8 billion in July. <\/p>\n

The sales tax generated \u20ac16.3 billion for the seven months to the end of July, ahead of last year by \u20ac1.4 billion.<\/p>\n

On the spending side, total gross voted expenditure for the seven months was \u20ac64.9 billion, which was \u20ac4.5 billion (7.4 per cent) ahead of last year but \u20ac1.2 billion (1.8 per cent) below profile.<\/p>\n

The Government is, however, forecasting overruns in departmental budgets of \u20ac700 million this year, mainly due to overruns in health and education.<\/p>\n

Minister for Public Expenditure Jack Chambers<\/a> has signalled a major clampdown on department spending amid a near doubling of public expenditure since 2019.<\/p>\n

\u201cThe figures published in today\u2019s fiscal monitor underline the increased investment in services and infrastructure to support a growing population and economy,\u201d Chambers said.<\/p>\n","protected":false},"excerpt":{"rendered":"Multinationals paid an additional \u20ac1 billion in corporation tax in July following the introduction of a new minimum…\n","protected":false},"author":2,"featured_media":585260,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[14617,5168,72,14787,24463,1398,61,17691,60,13808,15016,70,11757],"class_list":["post-585259","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-apple-tax","tag-budget","tag-business","tag-central-statistics-office","tag-corporation-tax","tag-department-of-finance","tag-ie","tag-income-tax","tag-ireland","tag-jack-chambers","tag-organisation-for-economic-co-operation-and-development-oecd","tag-simon-harris","tag-vat"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/585259","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=585259"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/585259\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/585260"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=585259"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=585259"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=585259"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}